Didi Chuxing, the Chinese ride-hailing giant has announced that it has raised $600 million from Toyota Motor Corporation to set up a joint venture with GAC Toyota Motor in order to help the drivers of Didi Chuxing in their vehicle-related issues. Both the companies will combine their services and technical abilities to launch the joint venture. Notably, the two have already worked together on a few projects to assist the drivers of the firm.
Interestingly, the company is also working with other motor vehicle firms like Volkswagen and BAIC's new-energy vehicle unit, D-Alliance, including Toyota, Volkswagen, Renault-Nissan-Mitsubishi, FAW, and Dongfeng.
Launched in 2012 by Bo Zhang and Cheng Wei, the company has its presence in more than 400 cities in China where it offers a full range of commuting options to the customers. The user base of the company is nearly 300 million.
Stephen Zhu, Didi’s senior vice president through a statement said, "DiDi is committed to helping our cities achieve new energy and smart transportation goals with partners from home and abroad. We look forward to combining Didi’s expertise in AI-based large-scale mobility operations and Toyota’s leading connected vehicle technology to build a next-generation intelligent transportation framework for sustainable cities.”
Toyota Executive Vice President Shigeki Tomoyama talking about the deal said, "I am delighted that we are strengthening our collaboration, which utilizes Toyota's connected technologies and next-generation BEVs, with DiDi, China's mobility service market leader. Looking ahead, we will work with DiDi to develop services that are more attractive, safe, and secure for our customers in China."
On the other hand, Toyota has planned to invest nearly $1 billion in Uber to develop autonomous vehicles together with SoftBank Group and auto parts supplier Denso Corp.